Crossfire: ‘Nigeria has implemented a cassava incentive and subsidy scheme that has given the sector a competitive advantage. Other cassava producing countries could learn lessons from this model’
Gideon Onumah | Sanni Lateef Oladimeji
Dear Gideon,Investment in the agricultural sectors in Nigeria, especially cassava, in the last 16 years has leapfrogged the sector into a competitive advantage. I want to look into the cassava incentive and subsidy scheme and convince you that it has given the sector such a boost.
Nigeria is currently the world’s largest producer of cassava, producing 38 million tonnes of fresh roots in 2010, 25 per cent more than the next largest producer, Brazil. It may interest you to know that about 90 per cent of the annual production of cassava in Nigeria is for human food while only 10 per cent is utilized for industrial products. But Nigeria accounts for a negligible amount of industrial cassava value-addition worldwide (Sanni, 2011).
Investment in the agricultural sectors in Nigeria, especially cassava, in the last 16 years has leapfrogged the sector into a competitive advantage. I want to look into the cassava incentive and subsidy scheme and convince you that it has given the sector such a boost.
Nigeria is currently the world’s largest producer of cassava, producing 38 million tonnes of fresh roots in 2010, 25 per cent more than the next largest producer, Brazil. It may interest you to know that about 90 per cent of the annual production of cassava in Nigeria is for human food while only 10 per cent is utilized for industrial products. But Nigeria accounts for a negligible amount of industrial cassava value-addition worldwide (Sanni, 2011).
ActionAid (2002) Farmgate: The Developmental Impact of Agricultural Subsidies, London: ActionAid.
Adesina, A. (2015) ‘Agricultural transformation agenda: repositioning agriculture to drive Nigeria’s economy’, presentation by the Federal Ministry of Agriculture and Rural Development, Abuja.
Asante-Pok, A. (2013) Analysis of Incentives and Disincentives for Cassava in Nigeria [pdf], Technical notes series, MAFAP, Rome: FAO <www.fao.org/3/a-at582e.pdf> [accessed 8 May 2015].
Asogwa, B.C., Umeh, J.C. and Okwoche, V.A. (2012) ‘Agricultural policy in the cassava subsector: implications for welfare of cassava farmers in Nigeria’, British Journal of Science 6(2).
Baltzer K. and Hansen, H. (2011–12) ‘Agricultural input subsidies in Sub-Saharan Africa’ study funded by DANIDA (2011–12).
Central Bank of Nigeria (CBN) (2015) An Assessment of the Operations of the Presidential Initiatives on Agriculture in Nigeria: 2001–2007 [pdf], Abuja, Nigeria: CBN <www.cenbank.org/Out/2013/RSD/CBN%20Occasional%20Paper%2040%20Inner.pdf> [accessed 21 May 2015].
Dayo P., Nkonya, E., Pender, J. and Oni, O.A. (2009) ‘Constraints to increasing agricultural productivity in Nigeria: a review’, IFPRI NSSP Background Paper 6, Washington, DC: IFPRI.
Jerven, M. (2013) ‘The political economy of agricultural statistics and inputs subsidies: evidence from India, Malawi and Nigeria’, Journal of Agrarian Change 2013.
Rogers, B.A. (1999) ‘Policy recommendations on agriculture’ [online], Nigeria World <http://nigeriaworld.com/feature/article/agric_policy.html> [accessed 21 May 2015].
Sanni, L.O. (2011) ‘Process and product innovations in the cassava agro-industrial sectors in Africa: the stimulating effect of presidential initiatives’, in C.A. da Silva and N. Mhlanga (eds), Innovative Policies and Institutions to Support Agro-Industries Development, Rome: FAO <www.fao.org/docrep/015/i2420e/i2420e00.pdf> [accessed 8 May 2015].
Summer, D.A. (2015) ‘Agricultural Subsidy Programs’, The Concise Encyclopedia of Economics [online], Library of Economics and Liberty <www.econlib.org/library/Enc/AgriculturalSubsidyPrograms.html> [accessed 21 May 2015].
Takeshima, H., Nkonya, E. and Deb, S. (2012) ‘Impact of fertiliser subsidies on commercial fertiliser sector in Nigeria: evidence from previous fertiliser subsidy schemes’, IFPRI Policy Note 34, Washington, DC: IFPRI.
ActionAid (2002) Farmgate: The Developmental Impact of Agricultural Subsidies, London: ActionAid.
Adesina, A. (2015) ‘Agricultural transformation agenda: repositioning agriculture to drive Nigeria’s economy’, presentation by the Federal Ministry of Agriculture and Rural Development, Abuja.
Asante-Pok, A. (2013) Analysis of Incentives and Disincentives for Cassava in Nigeria [pdf], Technical notes series, MAFAP, Rome: FAO <www.fao.org/3/a-at582e.pdf> [accessed 8 May 2015].
Asogwa, B.C., Umeh, J.C. and Okwoche, V.A. (2012) ‘Agricultural policy in the cassava subsector: implications for welfare of cassava farmers in Nigeria’, British Journal of Science 6(2).
Baltzer K. and Hansen, H. (2011–12) ‘Agricultural input subsidies in Sub-Saharan Africa’ study funded by DANIDA (2011–12).
Central Bank of Nigeria (CBN) (2015) An Assessment of the Operations of the Presidential Initiatives on Agriculture in Nigeria: 2001–2007 [pdf], Abuja, Nigeria: CBN <www.cenbank.org/Out/2013/RSD/CBN%20Occasional%20Paper%2040%20Inner.pdf> [accessed 21 May 2015].
Dayo P., Nkonya, E., Pender, J. and Oni, O.A. (2009) ‘Constraints to increasing agricultural productivity in Nigeria: a review’, IFPRI NSSP Background Paper 6, Washington, DC: IFPRI.
Jerven, M. (2013) ‘The political economy of agricultural statistics and inputs subsidies: evidence from India, Malawi and Nigeria’, Journal of Agrarian Change 2013.
Rogers, B.A. (1999) ‘Policy recommendations on agriculture’ [online], Nigeria World <http://nigeriaworld.com/feature/article/agric_policy.html> [accessed 21 May 2015].
Sanni, L.O. (2011) ‘Process and product innovations in the cassava agro-industrial sectors in Africa: the stimulating effect of presidential initiatives’, in C.A. da Silva and N. Mhlanga (eds), Innovative Policies and Institutions to Support Agro-Industries Development, Rome: FAO <www.fao.org/docrep/015/i2420e/i2420e00.pdf> [accessed 8 May 2015].
Summer, D.A. (2015) ‘Agricultural Subsidy Programs’, The Concise Encyclopedia of Economics [online], Library of Economics and Liberty <www.econlib.org/library/Enc/AgriculturalSubsidyPrograms.html> [accessed 21 May 2015].
Takeshima, H., Nkonya, E. and Deb, S. (2012) ‘Impact of fertiliser subsidies on commercial fertiliser sector in Nigeria: evidence from previous fertiliser subsidy schemes’, IFPRI Policy Note 34, Washington, DC: IFPRI.
ActionAid (2002) Farmgate: The Developmental Impact of Agricultural Subsidies, London: ActionAid.
Adesina, A. (2015) ‘Agricultural transformation agenda: repositioning agriculture to drive Nigeria’s economy’, presentation by the Federal Ministry of Agriculture and Rural Development, Abuja.
Asante-Pok, A. (2013) Analysis of Incentives and Disincentives for Cassava in Nigeria [pdf], Technical notes series, MAFAP, Rome: FAO <www.fao.org/3/a-at582e.pdf> [accessed 8 May 2015].
Asogwa, B.C., Umeh, J.C. and Okwoche, V.A. (2012) ‘Agricultural policy in the cassava subsector: implications for welfare of cassava farmers in Nigeria’, British Journal of Science 6(2).
Baltzer K. and Hansen, H. (2011–12) ‘Agricultural input subsidies in Sub-Saharan Africa’ study funded by DANIDA (2011–12).
Central Bank of Nigeria (CBN) (2015) An Assessment of the Operations of the Presidential Initiatives on Agriculture in Nigeria: 2001–2007 [pdf], Abuja, Nigeria: CBN <www.cenbank.org/Out/2013/RSD/CBN%20Occasional%20Paper%2040%20Inner.pdf> [accessed 21 May 2015].
Dayo P., Nkonya, E., Pender, J. and Oni, O.A. (2009) ‘Constraints to increasing agricultural productivity in Nigeria: a review’, IFPRI NSSP Background Paper 6, Washington, DC: IFPRI.
Jerven, M. (2013) ‘The political economy of agricultural statistics and inputs subsidies: evidence from India, Malawi and Nigeria’, Journal of Agrarian Change 2013.
Rogers, B.A. (1999) ‘Policy recommendations on agriculture’ [online], Nigeria World <http://nigeriaworld.com/feature/article/agric_policy.html> [accessed 21 May 2015].
Sanni, L.O. (2011) ‘Process and product innovations in the cassava agro-industrial sectors in Africa: the stimulating effect of presidential initiatives’, in C.A. da Silva and N. Mhlanga (eds), Innovative Policies and Institutions to Support Agro-Industries Development, Rome: FAO <www.fao.org/docrep/015/i2420e/i2420e00.pdf> [accessed 8 May 2015].
Summer, D.A. (2015) ‘Agricultural Subsidy Programs’, The Concise Encyclopedia of Economics [online], Library of Economics and Liberty <www.econlib.org/library/Enc/AgriculturalSubsidyPrograms.html> [accessed 21 May 2015].
Takeshima, H., Nkonya, E. and Deb, S. (2012) ‘Impact of fertiliser subsidies on commercial fertiliser sector in Nigeria: evidence from previous fertiliser subsidy schemes’, IFPRI Policy Note 34, Washington, DC: IFPRI.
ActionAid (2002) Farmgate: The Developmental Impact of Agricultural Subsidies, London: ActionAid.
Adesina, A. (2015) ‘Agricultural transformation agenda: repositioning agriculture to drive Nigeria’s economy’, presentation by the Federal Ministry of Agriculture and Rural Development, Abuja.
Asante-Pok, A. (2013) Analysis of Incentives and Disincentives for Cassava in Nigeria [pdf], Technical notes series, MAFAP, Rome: FAO <www.fao.org/3/a-at582e.pdf> [accessed 8 May 2015].
Asogwa, B.C., Umeh, J.C. and Okwoche, V.A. (2012) ‘Agricultural policy in the cassava subsector: implications for welfare of cassava farmers in Nigeria’, British Journal of Science 6(2).
Baltzer K. and Hansen, H. (2011–12) ‘Agricultural input subsidies in Sub-Saharan Africa’ study funded by DANIDA (2011–12).
Central Bank of Nigeria (CBN) (2015) An Assessment of the Operations of the Presidential Initiatives on Agriculture in Nigeria: 2001–2007 [pdf], Abuja, Nigeria: CBN <www.cenbank.org/Out/2013/RSD/CBN%20Occasional%20Paper%2040%20Inner.pdf> [accessed 21 May 2015].
Dayo P., Nkonya, E., Pender, J. and Oni, O.A. (2009) ‘Constraints to increasing agricultural productivity in Nigeria: a review’, IFPRI NSSP Background Paper 6, Washington, DC: IFPRI.
Jerven, M. (2013) ‘The political economy of agricultural statistics and inputs subsidies: evidence from India, Malawi and Nigeria’, Journal of Agrarian Change 2013.
Rogers, B.A. (1999) ‘Policy recommendations on agriculture’ [online], Nigeria World <http://nigeriaworld.com/feature/article/agric_policy.html> [accessed 21 May 2015].
Sanni, L.O. (2011) ‘Process and product innovations in the cassava agro-industrial sectors in Africa: the stimulating effect of presidential initiatives’, in C.A. da Silva and N. Mhlanga (eds), Innovative Policies and Institutions to Support Agro-Industries Development, Rome: FAO <www.fao.org/docrep/015/i2420e/i2420e00.pdf> [accessed 8 May 2015].
Summer, D.A. (2015) ‘Agricultural Subsidy Programs’, The Concise Encyclopedia of Economics [online], Library of Economics and Liberty <www.econlib.org/library/Enc/AgriculturalSubsidyPrograms.html> [accessed 21 May 2015].
Takeshima, H., Nkonya, E. and Deb, S. (2012) ‘Impact of fertiliser subsidies on commercial fertiliser sector in Nigeria: evidence from previous fertiliser subsidy schemes’, IFPRI Policy Note 34, Washington, DC: IFPRI.
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